October 2018

OUR 2018 UK GENDER PAY GAP REPORTMARSH

Marsh & McLennan Companies welcomes people from all walks of life and is committed to accelerating the advancement of women. The more diverse the backgrounds and experiences of our colleagues, the more opportunity we have as a company. This is at the core of what we do and delivers the striving, questioning environment and diversity of thought which provides us with our competitive advantage and reflects the client communities that we serve.

Mutual respect, dignity, diversity and inclusion are at the heart of our culture. Collaboration is the soul of our enterprise and diversity is a fundamental strategy. We succeed when we bring the widest range

of people and views to the table, and without the insight, knowledge and skills of our colleagues there is no Marsh & McLennan Companies.

Across our organisation we are committed to enhancing female representation. For example, within Marsh in 2018, 67% of promotions to Managing Director positions were women. Marsh limited has

a female chair, and within our UK Board of Directors, currently a quarter of the group are women (3 women and 9 men).

UK GENDER PAY GAP REPORTING

In this report, we detail our 2018 Gender Pay Gap across Marsh, Guy Carpenter and Jelf Insurance Brokers (formerly Jelf Group and Bluefin Insurance Group). Like many organisations we recognise we are on

a continuous journey to further women’s progression in the workplace. Across our firm we are focused on what we can do better. This report highlights some of the initiatives that support our commitments.

The Gender Pay Gap and Bonus Pay Gap analysis looks at the mean and median across the entire company for men and women. This is different from equal pay, which is about ensuring that men and women

are paid the same for carrying out work of equal value. We know our reported Gender Pay Gap is primarily related to our workforce profile and the higher proportion of men than women in senior roles.

We are taking actions to address this.

Thank you for taking the time to learn more about our current position and the actions we are taking to reduce our gap.

Chris Lay Chief Executive Officer Marsh UK & Ireland

James Nash Chief Executive Officer Guy Carpenter International

Phil Barton Chief Executive Officer Jelf Insurance Brokers Limited

INTRODUCTION

GENDER BONUS GAP

79%

21%

38%

62%

Quartile 4Lower

Quartile 3Lower Middle

44%

56%

Quartile 2Upper Middle

59%

41%

Quartile 1Higher

OUR GENDER PAY GAPResults presented below show overall results for Marsh UK. This incorporates Marsh, Guy Carpenter and Jelf Insurance Brokers.

WHAT WE KNOW

• In 2018 an equal proportion of women and men received a bonus. Both mean

and median figures show a higher bonus gap, predominantly due to the workforce

profile. Our pay philosophy puts a greater proportion of pay at risk for colleagues

in senior level positions, and this, combined with a gender imbalance at the higher

levels, leads to our overall bonus gap.

WHAT WE KNOW

• Our workforce profile, with more men in senior roles, is the

primary driver of our overall gender pay gap. The mean gap

has increased year on year. Our median Gender Pay Gap

has improved by 4.6% since 2017.

WHAT WE KNOW

• We recognise that at Marsh UK and as an industry we have more to do to create

diverse workforces which better reflect the client communities that we serve,

and our commitment to diversity.

PAY QUARTILES

GENDER PAY GAP

44.3%MEAN

42.5%MEAN

77.5%MEAN

60.2%MEAN

36.5%MEDIAN

41.1%MEDIAN

76.3%MEDIAN

71.4%MEDIAN

Proportion of men and women receiving a bonus

76%76%

2018

2017

2018

2017

OUR COMMITMENTThe diversity of our people is a fundamental pillar of our culture and, we believe passionately, our success. We recognise we are not where we want to be but are taking actions to progress. Below we detail

some of our recent initiatives designed to support greater gender parity across our organisation.

• Women in Finance: Marsh Limited is proud to be a signatory of the Women in Finance Charter.

We believe that a culture of mutual respect, dignity and diversity will benefit our colleagues,

clients and help drive change within the industry, and have set challenging goals as part of our

commitment.

• Recruitment and early career support: We remain focused on ensuring the diversity of our

talent reflects the broader population and this starts with our recruitment and early careers

intake. We have committed to achieve a year on year 50/50 gender split in our early careers

population including our graduate and apprentice schemes.

We are committed to ensuring that hiring managers are actively identifying and recruiting a

diversity of candidates for client-facing and non-client-facing roles. During 2018, we have made

progress against this commitment with 55% of Jelf Insurance Brokers hiring and 70% of Guy

Carpenter’s intake to the Graduate Development programme as female. After several years of

maintaining a 50/50 split, Marsh has unfortunately fallen behind in 2018, and will get back on

track going forward.

• Growing our future leaders: This year we launched our Marsh Global Diversity Leadership

Programme, which focusses on developing female, BAME and LGBT talent. During 2018, we have

also expanded our Balance Colleague Resource Group (CRG) focusing on gender diversity to

cover all our Operating Companies in the UK. Jelf Insurance Brokers are focussing on developing

our inclusive leadership capability, and Guy Carpenter has two High Potential programmes.

Gender diversity is promoted throughout the selection process of these programmes ensuring

a diverse pool of candidates.

• Supporting female careers: We are committed to drive change to policies and practices

to enhance female representation in our senior management population. At Marsh Limited, we

have committed to increase the female population at Senior Vice President and above through

the Women in Finance Charter. Across the UK and Ireland region during 2018, females comprised

72% of candidates nominated for promotion to Managing Director, and 67% of those who were

promoted. Across all Operating Companies, we work to ensure diverse colleagues are eligible and

appropriately identified for development programmes, training, career mobility and progression

and that there always is a diversity lens during decision making and calibration.

• Engaging across the business: Our Colleague Resource Groups, including Marsh Balance,

continue to provide a platform to support career development, leadership progression and work/

life balance. Guy Carpenter Embrace was established to strengthen the diversity of the workforce

and cultivate an inclusive culture. Jelf Insurance Brokers Leadership Team have committed to

creating a group that will champion, monitor and drive diversity and inclusion

to further extend focus across our Operating Companies.

• Aligning our policies: As we continue to grow through the acquisition and integration of

many owner-managed small businesses, we will work towards aligning our policies across our

Operating Companies to ensure these support our goals.

• Supporting Change across our industry: We remain actively involved in driving industry

change to create the diverse workforces which better reflect the client communities that we

serve. For example, Marsh Services Limited is a sponsor of the ‘Dive In Festival’ and have signed

the Inclusive Behaviours in Insurance Pledge, demonstrating commitment to a culture where

inclusive behaviours are the norm and where everyone is accepting of diversity.

“…We are committed to creating a diverse working environment where career opportunities are equally accessible to talented people regardless of their gender”

OUR COMMITMENTOUR COMMITMENTS IN ACTION

We are proud to be recognised externally for our Diversity and Inclusion initiatives, including:

• 2017 Winner of Diversity and Inclusion Excellence Awards from Insurance Times.

• 2017 British LGBT Awards: Samantha Jayne Nelson (Global Energy & Power) received the Diversity Champion of the Year Award.

• 2017 Business Insurance Women to Watch: Amy Barnes (Energy & Power) recognised as one of 15 outstanding female executives in Europe, the Middle East and Africa.

• 2017 WeAreTheCity Awards: Salome Santos (Financial and Professional) was recognised as a Rising Star in Insurance.

• 2017 Deputy President’s Young Achiever: Emily McCabe received Young Achiever Award from the Chartered Insurance Institute’s Newcastle upon Tyne chapter.

• Winner of the Employer Newcomer of the Year award in 2016 from the City of London Business Traineeship Programme, run by City of London Corporation: City View and The Brokerage Citylink,

for the Summer Talent Programme.

We still recognise that addressing the Gender Pay Gap requires long term commitment along with short term actions. We are focused on ensuring the initiatives outlined deliver meaningful impact, within and outside our organisation, and will continue to promote gender diversity, support the furthering of women’s careers and monitor our progress.

5

• Our commitments in action

• We are proud to be recognised externally for our Diversity and Inclusion initiatives, including:

– 2017 Winner of Diversity and Inclusion Excellence Awards from Insurance Times.

– 2017 British LGBT Awards: Samantha Jayne Nelson (Global Energy & Power) received the Diversity Champion of the Year Award.

– 2017 Business Insurance Women to Watch: Amy Barnes (Energy & Power) recognised as one of 15 outstanding female executives in Europe, the Middle East and Africa.

– 2017 WeAreTheCity Awards: Salome Santos (Financial and Professional) was recognised as a Rising Star in Insurance.

– 2017 Deputy President’s Young Achiever: Emily McCabe received Young Achiever Award from the Chartered Insurance Institute’s Newcastle upon Tyne chapter.

– Winner of the Employer Newcomer of the Year award in 2016 from the City of London Business Traineeship Programme, run by City of London Corporation: City View and The Brokerage Citylink, for the Summer Talent Programme.

O U R C O M M I T M E N TS E C O N D A R Y I N F O R M A T I O N ( 2 O F 2 )

Draft

We still recognise that addressing the Gender Pay Gap requires long term commitment along with short term actions. We are focused on ensuring the initiatives outlined deliver meaningful impact, within and outside our organisation, and will continue to promote gender diversity, support the furthering of women’s careers and monitor our progress.

5

• Our commitments in action

• We are proud to be recognised externally for our Diversity and Inclusion initiatives, including:

– 2017 Winner of Diversity and Inclusion Excellence Awards from Insurance Times.

– 2017 British LGBT Awards: Samantha Jayne Nelson (Global Energy & Power) received the Diversity Champion of the Year Award.

– 2017 Business Insurance Women to Watch: Amy Barnes (Energy & Power) recognised as one of 15 outstanding female executives in Europe, the Middle East and Africa.

– 2017 WeAreTheCity Awards: Salome Santos (Financial and Professional) was recognised as a Rising Star in Insurance.

– 2017 Deputy President’s Young Achiever: Emily McCabe received Young Achiever Award from the Chartered Insurance Institute’s Newcastle upon Tyne chapter.

– Winner of the Employer Newcomer of the Year award in 2016 from the City of London Business Traineeship Programme, run by City of London Corporation: City View and The Brokerage Citylink, for the Summer Talent Programme.

O U R C O M M I T M E N TS E C O N D A R Y I N F O R M A T I O N ( 2 O F 2 )

Draft

We still recognise that addressing the Gender Pay Gap requires long term commitment along with short term actions. We are focused on ensuring the initiatives outlined deliver meaningful impact, within and outside our organisation, and will continue to promote gender diversity, support the furthering of women’s careers and monitor our progress.

STATUTORY DISCLOSURE & DECLARATIONSTATUTORY DISCLOSURE

DECLARATION

We confirm that the gender pay gap calculations for each entity are accurate and meet the requirements of the Equality Act 2010 (Gender Pay Gap Information) Regulations 2017.

Notes:

* Marsh Services Limited is the legal entity comprising the UK businesses of Marsh Limited and Guy Carpenter

**Jelf Insurance Brokers is the legal entity comprising Legacy Jelf Group and Legacy Bluefin Insurance Group

Roy White

(on behalf of Marsh Services Limited)

Jane Barker

(on behalf of Jelf Insurance Brokers Limited)

GENDER PAY GAP BONUS PAY GAPQUARTILE 4

(LOWER)

QUARTILE 3

(LOWER MIDDLE)

QUARTILE 2

(UPPER MIDDLE)

QUARTILE 1

(HIGHER)

Mean MedianMale

ProportionFemale

ProportionMean Gap

Median Gap

Male Female Male Female Male Female Male Female

Marsh Services

Limited*38.2% 33.4% 79% 78% 71.9% 70.8% 48% 52% 51% 49% 65% 35% 82% 18%

Jelf Insurance

Brokers Limited**44.8% 28.9% 70% 74% 79.8% 45.1% 28% 72% 37% 63% 42% 58% 71% 29%

The information contained herein is based on sources we believe reliable and should be understood to be general risk management and insurance information only. The information is not intended to be taken as advice with respect to any individual situation and cannot be relied upon as such.

Marsh Ltd is authorised and regulated by the Financial Conduct Authority.

Copyright © 2018 Marsh Ltd All rights reserved

GRAPHICS NO. 18-0936